, Business - Accounting II of IX pages
Circle the letter of the Answer that corresponds to the displayed Question.
1. Contra Account
A: Accounting system that recognizes revenues when cash is received and records expenses when cash is
B Account linked with another account and having an opposite normal balance; reported as a subtraction
C: Balance sheet that presents assets and liabilities in relevant subgroups, including current and
D: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
2. Income Summary
A Temporary account used only in the closing process to which the balances of revenue and expense
(including any gains or losses) are transferred; its balance is transferred to the capital account (or retained
B: Ratio of a company's net income to its net sales; the percent of income in each dollar of revenue; also
C: List of permanent accounts and their balances from the ledger after all closing entries are journalized
D: Long-term assets not used in operating activities such as notes receivable and investments in stocks and
3. Operating Cycle
A: Temporary account used only in the closing process to which the balances of revenue and expense
(including any gains or losses) are transferred; its balance is transferred to the capital account (or retained
B Normal time between paying cash for merchandise or employee services and receiving cash from
C: Journal entry at the end of an accounting period to bring an asset or liability account to its proper
D: Assumption that an organization's activities can be divided into specific time periods such as months,
4. Temporary Accounts
A Accounts used to record revenues, expenses and withdrawals (dividends for a corporation); they are
B: List of accounts and balances prepared after period-end adjustments are recorded and posted.
C: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
D: Optional entries recorded at the beginning of a period that prepare the accounts for the usual journal
5. Classified Balance Sheet
A: Accounts that reflect activities related to one or more future periods; balance sheet accounts whose
B: List of accounts and balances prepared after period-end adjustments are recorded and posted.
C Balance sheet that presents assets and liabilities in relevant subgroups, including current and
D: Expense created by allocating the cost of plant and equipment to time periods in which they are used;
6. Fiscal Year
A: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
B: Costs incurred in a period that are both unpaid and unrecorded; adjusting entries for recording accrued
C Consecutive 12-month or 52-week period chosen as the organization's annual accounting period.
D: Journal entry at the end of an accounting period to bring an asset or liability account to its proper
Business - 2024/25 2024/2025 Edition
Circle the letter of the Answer that corresponds to the displayed Question.
1. Contra Account
A: Accounting system that recognizes revenues when cash is received and records expenses when cash is
B Account linked with another account and having an opposite normal balance; reported as a subtraction
C: Balance sheet that presents assets and liabilities in relevant subgroups, including current and
D: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
2. Income Summary
A Temporary account used only in the closing process to which the balances of revenue and expense
(including any gains or losses) are transferred; its balance is transferred to the capital account (or retained
B: Ratio of a company's net income to its net sales; the percent of income in each dollar of revenue; also
C: List of permanent accounts and their balances from the ledger after all closing entries are journalized
D: Long-term assets not used in operating activities such as notes receivable and investments in stocks and
3. Operating Cycle
A: Temporary account used only in the closing process to which the balances of revenue and expense
(including any gains or losses) are transferred; its balance is transferred to the capital account (or retained
B Normal time between paying cash for merchandise or employee services and receiving cash from
C: Journal entry at the end of an accounting period to bring an asset or liability account to its proper
D: Assumption that an organization's activities can be divided into specific time periods such as months,
4. Temporary Accounts
A Accounts used to record revenues, expenses and withdrawals (dividends for a corporation); they are
B: List of accounts and balances prepared after period-end adjustments are recorded and posted.
C: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
D: Optional entries recorded at the beginning of a period that prepare the accounts for the usual journal
5. Classified Balance Sheet
A: Accounts that reflect activities related to one or more future periods; balance sheet accounts whose
B: List of accounts and balances prepared after period-end adjustments are recorded and posted.
C Balance sheet that presents assets and liabilities in relevant subgroups, including current and
D: Expense created by allocating the cost of plant and equipment to time periods in which they are used;
6. Fiscal Year
A: Obligations due to be paid or settled within one year or the company's operating cycle, whichever is
B: Costs incurred in a period that are both unpaid and unrecorded; adjusting entries for recording accrued
C Consecutive 12-month or 52-week period chosen as the organization's annual accounting period.
D: Journal entry at the end of an accounting period to bring an asset or liability account to its proper
Business - 2024/25 2024/2025 Edition
